Carnival of Passive Investing #27

Welcome to the 27th edition of the Carnival of Passive Investing. The Carnival is about investing with the market as opposed to trying to beat the market. There are many investing philosophies that can be utilized, but the purpose of the Carnival of Passive Investing is to showcase posts that point to using things such as index mutual funds or ETFs that are able to beat the large majority of investment professionals. While not considered “sexy” by many, passive investing can be a good way to stay with the market as opposed to chasing gains and stock picking. Passive investing is not seeking to create passive income through things such as dividends, but using a strategy that uses things such asset allocation, rebalancing and index investing in order to establish a sound investment plan. If you would like to submit a post for next month’s Carnival, you can do so here.

The Best of the Rest

PK at Don’t Quit Your Day Job presents What Stock Market Returns Can You Expect? Take an idealized made-up mutual fund (one that invests in the S&P 500, doesn’t pay taxes or charge fees) and calculate how it would have performed over every 40, 20, 10, 5, and 1 year period in our database? No problem! Here’s the results of that work.

Gary at Gajizmo presents Vanguard vs. Fidelity. Fidelity and Vanguard are the two largest mutual fund companies, and each has its own investment focus, history, management team, pricing, and pros and cons. Decide which mutual fund family is best for your financial needs and goals before opening an account.

John at The Novel Investor presents Intro to Stock Index Weighting Methods. Index based ETFs and index funds are a popular choice for investors these days. But do you know how that underlying index works? Is it built to be a good investment strategy?

Michael at Financial Ramblings presents Dividends: Distribution Yield vs. SEC Yield. Ever wonder why you’ll find different dividend yield for the same bonds funds when checking different websites? More often than not, one is reporting the distribution yield and the other is reporting the SEC yield. This article explains the difference, as well as which one you should pay attention to.

Neal Frankle at Wealth Pilgrim presents What is a Proprietary Fund? If you are an investor you may own a proprietary fund and not even be aware of it. That’s bad news because these funds are expensive and typically perform very poorly. Worse, they belie the relationship between you and your financial advisor.

I'm the founder of Frugal Rules, a Dad, husband and veteran of the financial services industry. I'm passionate about helping people learn from my mistakes so that they can enjoy the freedom that comes from living frugally. I'm also a freelance writer, and would love to help out if you have the need. If you're wanting to learn how to monetize your blog, check out my blog coaching services to see how I can help you take your site to the next level.

Awesome carnival idea, it’s a personal mission of mine to “set it and forget it” so to speak. There were some great ideas on here, thanks for sharing everyone!!Listen Money Matters recently posted…Build Credit Without A Credit Card

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